Berkeley’s London-centred business has been at the middle of the property market’s sweet spot as an acute shortage of homes and an international clamour for the capital boosts prices more than twice as quickly as the rest of the country.

The firm, founded by property market sage Tony Pidgley, jumped 9% or 205p to 2487p as it unveiled a 19% rise in profits to £169.5 million for the six months to October, but flagged up profits near the top end of City hopes this year.

Berkeley is likely to post pre-tax profits of up to £374 million for the full year after faster sales at schemes such as its One St George Wharf tower in Vauxhall, which hit the headlines in January after a helicopter crashed into a crane on top of the 185m block.

The strong results came as more evidence of the wider housing market revival emerged from the Halifax today. Prices jumped 7.7% year on year in the three months to November — the fastest annual rate for six years — and increased 1.1% in November alone, the Halifax said.

Berkeley’s figures underline the success of Pidgley’s bet on the housing market after doubling the size of its business over the past five years, investing more than £1.5 billion into land and over £2.5 billion into building work.

It is also on track to return £1.7 billion to shareholders by 2021, issuing a 90p-a-share interim dividend worth more than £5 million to Pidgley who holds 5.6 million shares. Berkeley launched 12 new schemes in London and the South-East over the period. Profits were also bolstered by the sale of a £4 million property at its Chelsea Creek development — its most expensive sale.

But managing director Rob Perrins sounded a warning over tax changes such as a possible mansion tax after the next election.

“As we move into an election there is increased uncertainty and we need certainty to invest,” he said.